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Sequenom, Inc. Reports Financial Results for the Third Quarter of 2011
Date:11/3/2011

SAN DIEGO, Nov. 3, 2011 /PRNewswire/ -- Sequenom, Inc. (NASDAQ: SQNM), a life sciences company providing innovative genetic analysis solutions, today reported total revenues of $13.6 million for the third quarter of 2011, an increase of 16% compared to revenues of $11.7 million for the third quarter of 2010.  Net loss for the third quarter of 2011 was $18.4 million or $0.19 per share, as compared to net loss of $22.7 million, or $0.30 per share for the same period in 2010.

Gross margin for the third quarter of 2011 was 60% of revenue as compared to gross margin of 65% for the third quarter of 2010.  This difference reflects a change in the mix of product sales in the genetic analysis segment as well as the increased proportion of molecular diagnostics segment revenues, which were recognized on a cash basis with lower margins.

Total operating expenses for the third quarter were $26.4 million, as compared to total operating expenses of $30.5 million for the third quarter of 2010.  This reduction was primarily the result of a decrease in litigation settlement expense of $7.0 million for the third quarter of 2010, which did not recur in 2011.  Research and development expenses increased by $1.3 million to $12.6 million for the third quarter of 2011, a change associated primarily with expansion of the Sequenom Center for Molecular Medicine (Sequenom CMM) laboratory and pre-launch development activities for the MaterniT21 laboratory developed test (LDT).  Selling and marketing expenses increased by $1.4 million to $8.3 million for the third quarter of 2011, resulting primarily from higher labor costs associated with the expansion of the diagnostic sales force.  Total stock-based compensation expense was $3.1 million for the third quarter of 2011, an increase from the $2.8 million recorded for the third quarter of 2010.

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SOURCE Sequenom, Inc.
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